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Friday, April 29, 2016

When someone dies, his or her assets should go through probate.
The probate process includes collecting the deceased's assets, paying
off liabilities and necessary taxes, and administering property to heirs
as per the will.

Probate of decedent's Will

During
this process, authenticity of the deceased's will is to be proved in
the court of law. Will of a deceased must be probated soon after his or
her death. Nobody has a right to hold it back at any cost.
The
decedent's attorney or the person possessing the will of decreased, will
need to produce it immediately, or within the specified time. There are
penalties for destroying or concealing the will.

Probate Proceedings

The
procedure starts only when there is the involvement of an official
executor. If you are well versed with the different kinds of laws that
are involved, then you can submit your application to be the executor on
behalf of the friends or relatives.

The first thing to do here is to file a formal request. The applications
should be submitted in the local court of the same country, where the
deceased lived the last days of his or her life. Along with filing the
probation documents, you should also produce the original death
certificate of the deceased.

After filing the documents in the court, it the next step is to inform
the creditors of the deceased. You can advertise about the probate in
the newspapers, or on any other such local media.

You can let the heirs and beneficiaries of the departed know about the
probate process, by mailing the court notice to their respective mailing
address or by emailing it to them. You will need to document every
notification sent to the successors who are in the line, and submit them
to the court before the probate process commences.

You can complete all the procedures within the nine
months duration, which is after the date of death of your client. There
are many benefits from letting your client know beforehand about what
will happen with his or her possessions after death.

The distribution of property among the beneficiaries will take place
only after clearing off the debts taken by the diseased from different
sources.

The entire process will be completed with transferring of the deceased's possessions to the rightful beneficiaries.

The inheritance money will be handed over to the next
successor in line in many ways such as, funeral expenses, debt and
taxes, family allowances, costs of estate administration, etc.

Thursday, April 28, 2016

Advance medical directives are legal documents designed to
outline a person's wishes and preferences in regard to medical
treatments, interventions and other health care related issues. Policies
may vary from state to state, but regardless of location, advance
directives should always be included with each individual's personal
medical records.

Advanced directives typically fall into three categories:

Do
Not Resuscitate Order: This legal document, also known as DNR, is
extremely valuable for determining end-of-life issues. A DNR order,
however, is not legal until signed by the patient, a witness and a
physician. It should also be dated correctly and clearly state whether
the patient wants to be resuscitated or not if their heart stops
beating.

Living Will: This written document stipulates what kinds of medical
treatment the patient recommends should they become incapacitated. It
can be either general or very specific depending on the person and how
adamant they are about their end-of-life care issues. The usual items
outlined in a living will include: whether they wish to be on life
support, receive tube feedings, length of time (if any) that they will
stay on breathing machines, the individual that will make decisions on
their behalf, etc.

Durable Power of Attorney: This type of advance directive allows an
individual the opportunity to designate someone, or a number of
individuals, to act on their behalf for specific affairs. A durable
power of attorney, or DPOA, has the ability to make bank transactions,
sign social security checks, apply for disability, or even write checks
to pay utility bills while an individual is medically incapacitated.
Once the document is signed, the DPOA has legal priority even over next
of kin.

When Should a Directive be Created?

You
will see an advanced medical directive used for several different
situations-such as when someone is having a major surgery, diagnosed
with a life-threatening illness or is even becoming a single parent.
Advance medical directives are extremely beneficial if an individual is
unable to make his or her own medical decisions. Whatever the reason,
all advance medical directives should be signed by an attorney and be
notarized.

How to Obtain an Advance Medical Directive

Luckily,
there are many ways that someone can obtain an advance medical
directive. Many companies have booklets available, social workers and
nurses usually have them on hand, and hospitals and attorneys also have
copies of directives. It is worth the effort to ask for an advance
medical directive as it will be invaluable during a medical dilemma.

By
having previously documented personal wishes and preferences, the
burden of making tough decisions for family's and physicians' is
lessened. Not to mention, the patient's autonomy and dignity will more
likely be preserved by following their own choices regardless of mental
or physical capacity.

Wednesday, April 27, 2016

As an original concept
of estate planning, creating a will is a part of it. By writing a will,
money and property are divided after someone's death. There is a living
will, which relates to medical treatment and any procedures that must be
adhered to in case the originator becomes extremely or deathly ill.
Also, by taking responsibility for communicating--both properly and
promptly--creates a more action oriented atmosphere that is destined to
be organized, in comparison to no guidance for the future.

Issue Trusts

After
someone's death, relatives and loved ones tend to be on end. In some
cases, there are certain property rights and awards that must be issued
out to these members. That is where a trust sets in. A trust is method
of passing down funds to another, after one's death has occurred. There
are many forms of a trust in action today; and they vary according to
the specific needs of the person granting the initial trust (in most
circumstances).

Power of Attorney

During estate planning,
assigning a Power of Attorney is important. By addressing this issue,
someone is nominated as the head honcho when you are not able. This
applies to financial issues and personal matters (i.e. health).

Letter of Instruction

Moreover,
a letter of instruction is another important document that must be
created and developed. This kind of particular pass-down includes
specific directives that your successors must adhere. In summary, a
letter of instruction contains contact information (in the event of your
death), which pertains to where important information, files, or safes
are stored; and details that pertain to financial accounts, in addition
to pass-downs about continuing activities.

Good Reasons for Estate Planning

When
the responsibilities--of a grantor, etc.--are put into place, the
numbers can be big, in relation to financial responsibilities, health
decision leader, etc. As a result, governments and certain laws have
been put into place, in order to assist families and associates passing
things down. Before, without a will or any other lawful documentation,
people and tribes had to go by what they were told, and what they had
learned, while certain individuals were alive and/or on their deathbeds.
Thereafter, conflict could occur because of possible misrepresentation,
disbelief, and manipulative factors.

With that said, by
attempting to be responsible and producing wills and trusts (estate
planning), detrimental misguidance--concerning responsibilities--should
be null if any. Ultimately, It is always a good idea to tinker with
estate planning; cover your bases, before you are out for the count.

Monday, April 25, 2016

If you are experienced in running your business, you understand
the importance of getting the correct corporate form in place. You
should seek to have a structure that will not only aid long term
expansion but also protect your assets. The good news - there are a lot
of potential forms your business can take.

You should consider, if
you have a small business, forming an LLC. Think about setting up an
LLC if you have a small business. Fortunately, they are simple to
create. There is little paperwork with them. Further, in many states,
you won't need to file an annual report.

Also, LLC forms a
business structure that can protect your personal assets. Just keep you
LLC compliant and your personal property is protected.

With an
LLC, you can safe guard your business name.Also, LLCs allow unlimited
owners. This will help give your business growth room. Also, owners
don't need to have US citizenship.

In addition, an LLC doesn't
require meetings. It also needs little paperwork. And you can flow your
profit and loss to your personal taxes.

Keep in mind that setting
up an LLC has fees and paperwork. Also, you need to make sure you are
following all city and state laws. Thus, only consider an LLC if you
have a clear business plan.

Overall, an LLC is great for small
business. So you should at least consider one if you are serious about
your business. Remember, it can save you time and money, both of which
you can invest in your business!

Sunday, April 24, 2016

You don't have to be wealthy to need a will in regards to your
personal property. After you're gone, legal wrangling can become time
consuming for family members left behind and often creates indecision
and fighting amongst potential beneficiaries as your wishes may not be
clear. A will is usually straightforward and simply put is a legal
document that specifies how your property will be dispersed at the time
of your death. It can be revoked or amended at any point in your
lifetime, and can be used to appoint a guardian for any children that
are not yet of legal age.

Another option to be considered is a
living trust. A living trust handles property management of all assets
and all of these assets are transferred to the trust. Typically, you
will act as your own trustee while specifying who will act as trustee
upon your death. A living trust has the added benefit of avoiding
probate after you die and preventing public disclosure of all your
private financial matters. A living trust does have some drawbacks. It
must be maintained and any new property acquired must be transferred to
the trust or it will not be under the protection of the trust. A living
trust is also more expensive to initiate and must be managed. Generally a
living trust is recommended if your estate exceeds a specific dollar
amount, you have minor children, you're willing to manage the trust, and
if you want control of when your beneficiaries receive any assets.

A
simple will might be a better option if there is informal probate
available where you live. Informal probate is a greatly expedited form
of probate and is generally available to those whose estate is under a
certain dollar amount. If you are single without children, and you don't
own a business, it probably isn't necessary to set up a living trust
and a simple will is sufficient. Upon your death, the executor of your
estate will submit your will along with a petition to the probate court.
The petition requests that the will be accepted as legal and valid and
request that the executor named in the will be legally appointed. Any
heirs, beneficiaries, or creditors must be notified of the submission of
the will and have a specific amount of time to challenge it or submit
claims against the estate.

This process does not apply to living
trusts, which is why many people opt for a living trust versus a will.
Each person's situation is unique and should be evaluated by an attorney
who is familiar with estate law. Talk to your family and determine who
will handle your affairs after your death. With everyone understanding
who will handle which aspects of the estate and what to expect, the loss
of a family member is a less stressful one.

Saturday, April 23, 2016

There's nothing that can prevent someone from dying, since
physical death is an absolute certainty that no one can escape. The fear
for some people, though, is not what's going to happen to them after
they pass on, but more on who's going to take care of their loved ones,
especially if the people he'll be leaving behind are either very young
children or are incapacitated, or both.

You can't have control of
what's going to happen to you after death, but you sure can decide
what's going to happen to your assets once that event transpires. It's
called estate planning. This is the process by which a person (or even a
family) arranges the transfer of his assets in anticipation of his
death. And in estate planning, there are several documents to consider.
Here are some of them:

Last will and testament -
This document takes front and center in all the planning. This is the
document that legally provides for the transfers of assets after one's
death. It names a person to settle the estate, a trustee who will
administer any trust established, and a guardian if there minor
children. For those who die without having executed a will, they are
considered to be 'intestate.' Under certain laws, if one is intestate,
property goes first (or in major part) to a spouse, and then to children
and their descendants.

Trust - Persons preparing
a will and testament can execute either 'inter vivos' or testamentary
trusts (trusts established through a will). The difference between the
two is that with the former, assets are transferred into the living
during the trust creator's lifetime, as opposed to testamentary trusts,
where the transfer becomes operative at the time of death.

Durable powers of attorney -
A power of attorney is the document that authorizes a designated agent
to carry out financial and business transactions for the person that's
establishing the document. This grants such agent to access bank
accounts (and even brokerage accounts), deal with insurance companies,
and even sell property. This effectively allows the agent to step into
the shoes of the person he is assisting.

Healthcare power of attorney
- This document is a form of a living will that is designed, among
other things, to: provide instructions for the conditions should
life-sustaining procedures be utilized, authorize who will make
healthcare decisions, and ensure that the person chosen to make these
decisions is given access to the executor's medical records during
incapacity.

These are the important documents to take into account
so a person can have the opportunity to make personal and financial
decisions, both in life and after death, without the need for court
orders.

Thursday, April 21, 2016

Rene of By the People Document Preparation Service in Fairfield CA talks briefly about the basic differences between Inc. and LLC, and the benefits and features of each. Give Rene or Tammy a call at 707-428-9871 with any questions you may have so they can help you get the right product for your business. See more at http://www.bythepeopleca.com

Tuesday, April 19, 2016

Estate planning creates a plan for distribution of your assets
after you die. Most of us are familiar with a common product of estate
planning: the will. Featured in TV shows and in everyday conversations,
sometimes, the discussion surrounding this popular topic is not
favorable.

We've seen people contesting wills, challenging their
family members, feeling cheated by the administrators of wills and by
the law and we've seen them arguing through lawyers about what wills
mean how they should be executed. Other forms of estate planning exist
to reduce the amount of conflict surrounding decisions.

Health
care decisions can be included in estate planning; a health care proxy
exists so that a chosen person can act out the desires of an
incapacitated person still under medical care.

When it comes to
the distribution of their wealth and medical decisions, multiple
measures exist to enable the dead and the severely injured a means of
executing their own desires. However, even in the case where no formal
plans are made, heirs do receive some forethought in terms of the law.

The
law of intestacy communicates that even if no measures are taken to
distribute assets by a deceased party, those assets will still go to the
deceased person's heirs. The law of intestacy has the most staying
power in situations where it is least likely to be challenged by those
wanting more. For insurance, according to Attorney Sean W. Scott of
Virtual Law Office, this law works with a small number of assets and a
with a small number of heirs.

In each of these cases, one can
imagine there would be less conflict involved. With less to fight over,
less fights can ensue. The same is likely true with less beneficiaries;
as heirs likely know one another well when smaller in number, less
family tension can arise. Less instances of certain heirs feeling more
worthy than others to certain possessions may exist. The likelihood that
an individual or set of siblings would usurp others' belongings may be
reduced. And general confusion arising from miscommunication and a lack
of cemented durable relationships may possibly decrease with a smaller
set of heirs. None of these suggestions are set in stone, yet
corresponding data would be a more than interesting dinner topic.

Scott
emphasizes the financial advantages of estate planning, sharing that
taking certain precautions can save money for heirs receiving portions
of estates. As lawyers stay on the job, working to settle issues between
family members or between the state and family members, their tabs
continue running. Evaluating the multiple options may familiarize you
with the best decisions for your situation, reducing stress and
increasing savings for your loved ones after you pass.

Monday, April 18, 2016

Advance directives are legal documents prepared in advance to
accomplish a task at a later date. These documents can be instructions
or permission granted for a specific usage such as life support or even
financial issues. There are two types of advance directives. A durable
power of attorney for health care allows you to name a (patient
advocate) to make decisions on your behalf. A living will allows you to
state your wishes in writing, but does not specifically name a person to
assume the role of advocate. Regardless of which one is used, the court
system can still intervene and make an overriding decision if
situations arise.

Most people who choose to prepare advance
directives do so to remove any doubt of their wishes in the event of a
situation where they may be deemed unable to make decisions.
Considerations
of the advance directive would be who you would want to assume the
responsibility for decision making. Important decisions could be about
ventilators (and other life extending machines) resuscitation, surgery,
feedings (tube, food and water) and prescription drugs.

A Durable
Power of Attorney for HealthCare is a legal document that allows you to
name another adult (18 or over) to make your health decisions for you.
Most people choose a family member but often a trusted advisor is
selected. If end of life issues are in play, you may instruct your
appointee to refuse any and all treatment and let you die. You would
state this in writing that the person you select has the power to make
that decision. The durable power of attorney only goes into effect once
you are unable to make any decision yourself.

The power of
attorney and the living will are both reversible. At anytime you may
change your mind both as to treatments and who is the appointee. The
only real component of either of these agreements is that at the time
you execute the agreements you are considered a competent adult. This
means that you are capable of making the choice of your own free will
and without outside influence.

It is always best to seek legal
advice when considering important decisions. Numerous sources exist to
provide you with basic information about how these agreements work and
how they may affect you and your heirs.

Sunday, April 17, 2016

All our lives we work hard to ensure that our family never has to
face a difficult time ever but we promptly forget all about them at the
end. We are talking about preparing wills or last testaments that
people almost always don't prepare or unnecessarily delay due to a
psychological block. The psychological block is our inherent fear of
death which is aggravated during the making of a will. The preparation
of a will is almost an indication of our own mortality and that is
something none of us want to accept.

But whether we accept it or
not, our mortality is the only truth and we must keep the responsibility
of taking care of our family with us. A will could save our family from
a host of troubles out of which some could be huge hassles that will
need a lot of time and resources to solve. Say for example, the most
common form of trouble that comes from the non preparation of a will is
property disputes. Normal property disputes could siphon off huge
amounts of time and resources. Plus there is no guarantee that the
problem will be solved within a stipulated time. Property disputes are
known to stretch for years and some even extend till the death of the
supposed beneficiary. This means there are chances that your family
might never get to enjoy the property that rightfully belongs to them.

Does
that statement depress you? But that's simply the beginning as there
will be more and more problems associated with non-existence of a will.

The
next problem that could occur is the proper division of the property
and in case of common ownership of a property- the lack of a trust fund.
These are legal wrangles that could again put pressure on your family
or dear one's resources.

Making a will is the best form of
property management as the methods of division are expressly mentioned
in the will. Without the existence of a will there are chances that the
beneficiaries or dependents will have a tough fight in their hands to
ensure their right on the property. Then there are properties which have
common ownership and for those you need to create a trust fund. But
that's again not possible without the presence of a will or testament.

Make a will
immediately as this will not only guarantee the peace and security of
your loved ones but also give you the strength to accept your own
impending mortality.

Saturday, April 16, 2016

If you are a retiree, you likely have heard many claims made
about probate problems. The word itself may even fill you with dread. If
you are planning your estate, there are some things you should consider
concerning probate. In this, as in all things, it is important to take a
balanced approach. Let's review some of the issues pertaining to
probate. Then you can decide if you need to approach your estate
planning differently.

What is the purpose of probate?

You
have heard this word many times, but may never have considered what it
means. In legal terms, probate is the period of time during which a will
is proven authentic or valid. The purpose of probate is to distribute
an estate according to the decedent's wishes described in his or her
will. Typically, the first step of probate is to use the person's
probate assets and property to pay all debts. After that, any remaining
assets and property are distributed to persons named in the will. There
may be costs associated with the probate process.

Probate ensures
that your wishes for the distribution of your estate are carried out
upon your death. Probate is a public process. If your estate is of any
size, your heirs could suddenly have new friends trying to advise them
on how to manage their newly inherited assets.

People often assume all assets are subject to probate, which raises the following question.

Are all assets subject to probate?

No.
Some assets are excluded from probate. An example would be assets that
are held in joint ownership with rights of survivorship, such as your
personal home. Other assets not subject to probate are those governed by
a beneficiary designation. This would include assets such as your
401(k), IRAs, life insurance policies, and annuities. Additionally,
assets held in a trust are not subject to probate. If the majority of
your estate assets are held in accounts of this type, you may not have
that much to be concerned about.

What about my brokerage and bank accounts?

These
types of accounts can be set up to transfer on death (TOD) to a
beneficiary. This designation allows you to pass securities and banking
accounts directly to another person (your TOD beneficiary) upon your
death without having to go through probate. By setting your accounts up
this way, the executor or administrator of your estate will not have to
take any action to ensure that your accounts transfer to the person you
have designated. The TOD beneficiaries will have to take steps to
retitle the accounts in their name, but this is not a very cumbersome
process.

As you can see, probate may not be as bad as you have
heard. There are many things to consider during the estate planning
process.

Friday, April 15, 2016

Rene at By the People in Fairfield CA talks about just some of the reasons for a need for a Power of Attorney. These documents can be really important aids in helping loved ones. For any questions about the types of Power of Attorney, and what may be beneficial for your individual needs, call Rene or Tammy at 707-428-9871 and visit the website at http://www.bythepeopleca.com

Thursday, April 14, 2016

I am not a lawyer, I am a Judgment Broker. This article is my
opinion, and not legal advice, based on my experience in California, and
laws vary in each state. If you ever need any legal advice or a
strategy to use, please contact a lawyer.

A Limited Liability
Company (LLC) is a state-defined entity that can be thought of as being a
hybrid business entity, having some features of both partnerships and
corporations.

LLC's are popular primarily because they are more
flexible, and are simpler to operate than type S or C corporations. Some
think LLCs save taxes, however most often, they do not.

In some
ways, LLCs are similar to corporations. Both LLCs and corporations
provide basic liability protection for owners and/or shareholders, and
officers.

One way LLCs are different, is that LLCs have owners,
and corporations have shareholders. A LLC can have several owners,
called "members" or "partners", named members, for the rest of this
article.

A LLC's partnership agreement defines the member relationships in the LLC, and includes an ownership agreement.

LLCs
can have at least one managing member, and may also choose to appoint
officers. LLCs usually have an operating agreement, that describes the
LLC's function. LLC members can be any combination of individuals,
corporations, and other LLCs.

Double taxation occurs when a
company first pays tax on their profits; and then their officers,
employees, and shareholders, get taxed again on their individual
incomes.

Historically, one of the primary reasons that LLCs were
chosen, was for their potential tax savings. LLCs avoid the potential
double taxation problems that C-type corporations can have.

Double
taxation is not really an important financial issue now, because the
IRS has caught up, and removed most of the way taxes could be saved on
both common and creative types of income.

Now, there seems to be
no tax advantages or disadvantages to forming a LLC. No matter what
corporate structure or partnership one picks, they must pay taxes. Tax
payments may be split up in different ways, however one way or another,
income is taxed.

Single-owner LLCs are taxed the same as sole
proprietorships, and file the same 1040 tax return and Schedule C, as a
sole proprietor.

Single-owner entities rarely get the same
liability protection that larger companies get. Multiple-owner LLCs may
potentially provide better liability protection than some corporations.

Multiple-owner
LLCs are taxed the same as partnerships. Partners in a LLC file the
same 1065 partnership tax return, as would be done with any conventional
business partnership.

Owners of LLCs are considered to be
self-employed, and must pay a self-employment tax of about 15%, on the
total net income of the business.

In C or S corporations, only the
salary paid to employees is subject to employment tax. The IRS monitors
salaries, and will define income as salary, if they think a company is
not paying adequate salaries. Payroll taxation is expensive.

The actual advantages of LLCs over S or C corporations is that they are:

1) Much more flexible in ownership.

2) Simpler to operate.

3) Not subject to as many corporate formalities, or reporting requirements.

4) Owners of a LLC can distribute profits any way they want.

Usually,
the state, county, and city, requires LLCs to pay them the same taxes,
fees, and registration fees, as corporations must. Also, many states
require LLCs to hire an accountant to prepare the LLC's tax returns.

LLCs no longer save you money. The best reason to choose to form a LLC, is the flexibility they offer.

Sunday, April 10, 2016

If the deceased has assets with deeds, a will most likely will not avoid probate. Strengthen your understanding of probate court with an estate planning and probate lawyer in this free video on estate law.

Saturday, April 9, 2016

You don't have to be wealthy to need a will in regards to your
personal property. After you're gone, legal wrangling can become time
consuming for family members left behind and often creates indecision
and fighting amongst potential beneficiaries as your wishes may not be
clear. A will is usually straightforward and simply put is a legal
document that specifies how your property will be dispersed at the time
of your death. It can be revoked or amended at any point in your
lifetime, and can be used to appoint a guardian for any children that
are not yet of legal age.

Another option to be considered is a
living trust. A living trust handles property management of all assets
and all of these assets are transferred to the trust. Typically, you
will act as your own trustee while specifying who will act as trustee
upon your death. A living trust has the added benefit of avoiding
probate after you die and preventing public disclosure of all your
private financial matters. A living trust does have some drawbacks. It
must be maintained and any new property acquired must be transferred to
the trust or it will not be under the protection of the trust. A living
trust is also more expensive to initiate and must be managed. Generally a
living trust is recommended if your estate exceeds a specific dollar
amount, you have minor children, you're willing to manage the trust, and
if you want control of when your beneficiaries receive any assets.

A
simple will might be a better option if there is informal probate
available where you live. Informal probate is a greatly expedited form
of probate and is generally available to those whose estate is under a
certain dollar amount. If you are single without children, and you don't
own a business, it probably isn't necessary to set up a living trust
and a simple will is sufficient. Upon your death, the executor of your
estate will submit your will along with a petition to the probate court.
The petition requests that the will be accepted as legal and valid and
request that the executor named in the will be legally appointed. Any
heirs, beneficiaries, or creditors must be notified of the submission of
the will and have a specific amount of time to challenge it or submit
claims against the estate.

This process does not apply to living
trusts, which is why many people opt for a living trust versus a will.
Each person's situation is unique and should be evaluated by an attorney
who is familiar with estate law. Talk to your family and determine who
will handle your affairs after your death. With everyone understanding
who will handle which aspects of the estate and what to expect, the loss
of a family member is a less stressful one.

Thursday, April 7, 2016

Divorce is probably never easy, but it doesn't have to be expensive. Rene of By the People in Fairfield CA talks briefly about help with uncontested divorces with our without children. Rene or Tammy will be happy to answer all your questions. Call them at 707-428-9871 and you can visit the website at http://bythepeopleca.com

Tuesday, April 5, 2016

A limited liability company, or LLC, is one of the most popular
business entities today but also one of the newest. An LLC is unique in
that it's a pass-through entity. The IRS does not consider an LLC a
legal separate entity in terms of taxation, so all business income,
losses, and expenses are "passed through" to individual owners to report
on their personal income tax returns.

By default, a single member
(or single owner) LLC is taxed as a sole proprietorship. An LLC with
more than one member is taxed as a partnership by default. There are
many tax advantages (as well as drawbacks) to forming an LLC instead of a
corporation.

Flexible Taxation

One of the biggest benefits
to forming an LLC is you can choose how you are taxed. This is one of
the lesser understood advantages of a limited liability company. When
you file your taxes, you can choose to file as a "disregarded entity"
and get the default tax treatment or you can choose corporate tax
treatment. If you choose the corporation taxation structure, your
business will be taxed at a much lower corporate rate on the first
$75,000 in income. Keep in mind an LLC's tax rate is completely
dependent on the owner's income. If you have higher income, you will
likely pay lower tax rates by choosing corporate treatment.

Lease Assets

With
a limited liability company, you can lease your personal assets to the
company. This means you can run your LLC from your home office and have
the LLC leasing the office from you. Doing so means you are creating a
business expense that you may be able to write off while improving your
personal financial situation. This is a tricky area, however, as the
expenses must be legitimate business expenses and you will need a formal
lease agreement in place.

No Double Taxation

Corporations
are subject to something known as double taxation, which means a
corporation first pays taxes at the corporate level then again on income
from dividends that are distributed to owners. LLC owners are not
subject to double taxation; business income is reported on your personal
income tax return and taxed once.

Tax Disadvantages

While
there are certainly tax benefits to an LLC, there are drawbacks as well.
LLC owners are required to pay taxes on their distributive share of the
company's profit, even if they do not receive the distribution because
the money stays with the business. Corporate owners are not required to
pay taxes on business profits unless the profits are distributed
(usually as dividends).

Finally, as an LLC owner, you will also be
required to pay self-employment taxes, even if you are a single member
LLC. Corporate owners who work as employees of the company, meanwhile,
only pay half of this tax amount on their salaries while the corporation
pays the rest.

Monday, April 4, 2016

Modern advancements in medicine have made it possible for us to
live longer than ever before. While these advancements have
substantially extended our lives, such an extension may not be desirable
because it may lower our quality of life and result in a loss of our
dignity. Since all competent adults have the right to make their own
medical decisions, you may want to tell your doctor now not to take
heroic or extraordinary means to prolong your life in the future if you
become ill and there is no hope for your eventual recovery. You can do
this by preparing a living will.

"What is a living will?"

A
living will is a legal document in which you direct your doctor to
withhold or withdraw life-sustaining treatment, whose only purpose is to
prolong your dying process, if you are in a terminal condition or a
state of permanent unconsciousness.

"Who can prepare a living will?"

You
can prepare a living will if you are of sound mind and are at least 18
years of age, or have graduated from high school, or are married. You
must sign your living will in the presence of two witnesses who are both
at least 18 years of age.

"What medical treatment can I refuse in my living will?"

You
can refuse all medical treatment including but not limited to cardiac
resuscitation, artificial feeding, blood, kidney dialysis, antibiotics,
surgery, diagnostic tests, and mechanical respiration. You can,
however, direct your doctor to administer only treatment that will keep
you comfortable and alleviate your pain.

Also in your living will,
you can designate another individual, known as your surrogate, to make
medical decisions for you if you are unable to do so yourself.

"When does my living will become operative?"

Your
living will becomes operative when you or another individual provides a
copy of it to your doctor, and your doctor determines you to be
incompetent and in a terminal condition or state of permanent
unconsciousness. At that time, your doctor has to act in accordance
with the instructions outlined in your living will. If your doctor
cannot in good conscience follow the instructions in your living will,
your doctor must inform you or your surrogate of this fact. At that
time, your doctor is required to assist you in finding another doctor
who will comply with the instructions in your living will.

"Can I revoke my living will?"

Yes.
You may revoke your living will at any time and in any way without
regard to your mental or physical condition. Revocation is effective at
the time it is communicated to your doctor by you or by a witness to
the revocation.

"If I do not have a living will, will my doctor continue to order treatment to prolong my dying process?"

Not
necessarily. Your failure to prepare a living will will not raise any
presumption as to your intent to consent to or refuse life-sustaining
medical treatment. In fact, in one Pennsylvania case, the court
permitted a close relative with the consent of two physicians to remove
life-sustaining treatment from the patient who had no living will and
was in a persistent vegetative state.

"Can my doctor refuse to treat me if I do not have a living will?"

No.
Your doctor cannot require you to have a living will as a condition to
provide treatment to you. Also, your doctor cannot charge you a
different fee for providing treatment to you if you do not have a living
will.

"If I have a living will and am involved in a serious accident, will emergency medical personnel refuse to treat me?"

No.
Emergency medical personnel will provide any and all treatment
necessary to save your life. Your living will does not apply until it
becomes operative, i.e., your doctor determines you to be incompetent
and in a terminal condition or in a state of permanent unconsciousness.

In
summary, a living will lets you decide now what medical treatment you
want in the future if you become incompetent and are in a terminal
condition or a state of permanent unconsciousness. It helps to
eliminate uncertainty regarding your desire for specific medical
treatment, and provides guidance to your doctors and family members.
Failure to prepare a living will may cause increased stress on your
loved ones who are left to decide the proper medical treatment for you.

Saturday, April 2, 2016

Rene of By the People in Fairfield CA gives a short overview of their services and the number of legal documents they can help with. For questions, call Rene or Tammy at 707-428-9871 and you can visit their website at http://www.bythepeopleca.com

Friday, April 1, 2016

Probate is the system in which the court's system's method of
processing the estates of a dead person. It is a legal document that
enables the administration of the estate of the deceased. It allows for
the resolving of claims and distribution of the deceased's will. Any
grievances surrounding a deceased person's estate are filed in the
probate court also known as the surrogate court. Once probated, the will
becomes a legal instrument that can be enforced by the executor.

Administration process

Administration
process of an estate on the other hand is the process by which the
deceased person's assets are collected, maintained and distributed. An
estate administrator sees to the proper administration of the will.

The Probate process

The
probate process begins after the death of a person. An interested
person files an application to administer the estate; a fiduciary is
then appointed who is to administer the estate and at times may be
required to pay a bond to safeguard and to insure the estate. Creditors
are notified and legal notices published. There may be filed a petition
to appoint a personal representative may need to be filed and letters of
administration obtained. All these processes must be done in accordance
with the limitation clause.

Property that avoids probate

Property
that passes to another person contractually upon the death of a person
does not enter probate for example a jointly owned property with rights
of survivorship. Property held in a revocable or irrevocable trust that
was created when the grantor's was still alive does not also enter
probate. In most of these cases the property is distributed privately
and without many issues thus no court action is required.

What happens in the probate and administrative process?

After
a probate case has been filed in court, an inventory is entered and the
deceased's property collected. The debts and taxes are paid first then
the remaining property distributed to the beneficiaries. The probate and
administrative process may be challenged at any time as a whole or part
of it. The issues that arise during such hearings include will contests
and paternity issues and these have to be solved before the matter is
decided.

The need for the appointment of an administrator arises
where the deceased left no will, some assets are not disposed of by the
will, in cases where there is a will however, the case goes to probate
directly. The estate administrators act like will executors but where
the will does not state how to distribute of property, they follow the
laid down laws.